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Updated over 8 years ago on . Most recent reply

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Scott Streisel
  • Fredericksburg, VA
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I am looking at possibly purchasing a property to get started in

Scott Streisel
  • Fredericksburg, VA
Posted

I am looking at possibly purchasing a property to get started in the rental housing market.

I don't have the liquid assets needed to come up with 20% at this point. Most of my retirement type income is tied up in 401ks. Due to not having the assets I am looking to take on some partners and purchase one property to start. I realize its a general questions and without details it might be hard to answer, but I am thinking about starting an LLC and making each an equal partner. Can I make the LLC in another state that has more favorable tax laws?

A couple details:

- I live in VA but the properties we are looking at are in WV. One or more of the partners lives in the vicinity of the property.

- We would still need to finance the majority of the property

- I would like to use this as a learning experience with the intent to purchase more in the future.

- I would like to keep the money in the business to use toward investing in other properties until the income amounts become a decent amount.

- This would be a townhouse property.

how complicated is the tax process for an LLC really? Is it necessary to have a lawyer involved?

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